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Loan Process

Borrowers are required to follow procedures to authorize the purchase of property, construction or remodeling of buildings, and the borrowing of funds according to provisions found within the Book of Discipline.


  1. Your ministry will need to thoroughly complete a loan application and return it to the Virginia United Methodist Development Company (‘DevCo’), along with all required supporting documents. Click here to begin the application.
  2. DevCo staff will review your application and supporting documentation and follow up with you regarding any questions or concerns.
  3. The church must request that the local pastor and the District Superintendent complete the Consent Form. Once complete, it should be returned to the Development Company.

Site Visit:

  1. If a site visit is required, a DevCo representative will contact you to make arrangements.
  2. Site visits typically begin in mid-afternoon and may run into the evening.
  3. The visit will include, at a minimum, the following:
  • A tour of the subject property (and possibly any and all other property currently owned by the church or which may be considered subject to collateral lien);
  • A meeting with the appropriate personnel to review the details of the loan project and your ministry’s financial situation;
  • A meeting with your trustees, building, and capital campaign and/or finance teams as may be appropriate for your project.  The meeting’s purpose is to explain who the Virginia United Methodist Development Company is and to learn the story of what God is doing in and through your ministry
  1. If your loan project includes construction, the site visit will begin a little earlier in the day and will include a discussion of DevCo’s construction loan draw process.


  1. Once ready, your loan request will be submitted to the DevCo Loan Committee for their review and then referred to the full Board of Managers for formal approval consideration.
    • The Loan Committee, which meets monthly, may approve loan requests up to $500,000.
    • Requests greater than $500,000 require approval by the full Board of Managers.
  2. When your loan request is approved, your church leadership will be sent correspondence reflecting DevCo’s approval and funding commitment, as well as the specific terms of your approved loan in our Loan Commitment Letter and Term Sheet.
  3. The Loan Commitment Letter will require the counter signature by the church’s pastor and a key lay leader, which could be the chair of trustees, chair of finance or building committee chair.  Also, the Loan Commitment Letter will seek to gather contact information for an attorney to represent the church as well as bank account information and insurance broker contact information.
  4. Depending upon whether or not a site visit is needed and which approval authority must consider the loan request, it could take up to four weeks from the time DevCo receives all required application documents to the time of formal approval. This timeline does not account for closing and funding the loan.


  1. Your church will be responsible for selecting a title insurance company or attorney to oversee the closing of your loan. Once selected, you will need to put that party in touch with DevCo.  It is possible for the church to approve the use of the DevCo real estate attorney to manage the closing for the church.
  2. Under Virginia law, the church will be required to have current trustee filings with their municipal court.
  3. DevCo will work with your church representatives to ensure all pre-closing requirements are met.
  4. DevCo will work with the title insurance company or attorney to secure commitment of a lender’s title insurance policy.
  5. DevCo will generate a loan document package for closing and will coordinate a closing date/time with your ministry and the title insurance company or attorney.
  6. The closing process timeline is largely dependent upon how quickly DevCo’s pre-closing requirements are met and how quickly a satisfactory title commitment is secured.


  1. If funds are needed at the time of closing (such as for a refinance, a purchase, or closing costs), those funds will be disbursed to the title insurance company or attorney in time for closing in accordance with the settlement statement.
  2. Funds needed for construction costs will be disbursed after closing, as needed, to pay for work completed and/or materials stored on the job site. These disbursements must adhere to DevCo’s construction loan draw process and require a duly appointed representative of the church to approve the draw using this form.


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